Increase Employee Productivity by Decreasing Drug Costs…?

Employee productivity is essential for any organization’s success, and reducing employee prescription costs can be an effective way to improve productivity. According to a survey conducted by the National Business Group on Health, 82% of large employers consider high drug costs as a significant challenge for managing their healthcare costs. 

When employees struggle with affording their medications, they may skip doses or not fill their prescriptions altogether. This can result in worsened health outcomes and decreased productivity. By reducing prescription costs, employers can increase employee medication adherence rates, leading to better health outcomes and increased productivity. A study published in the Journal of Occupational and Environmental Medicine found that employees with better medication adherence had 6.7 fewer lost workdays per year than those with poor adherence.

Employees who are unable to afford their medications may miss work due to illness or disability. By reducing prescription costs, employers can decrease absenteeism rates and increase productivity. A study by the National Bureau of Economic Research found that improved medication adherence was associated with a 4.2% reduction in absenteeism.

Employees who struggle with affording their medications may experience poor overall health, leading to decreased productivity. By reducing prescription costs, employers can improve overall employee health outcomes, leading to increased productivity. A study by the American Journal of Managed Care found that employees with poor health had higher healthcare costs and lost productivity.

Increased employee satisfaction Offering affordable prescription drug benefits can be a valuable way for employers to show their commitment to employee health and well-being. This can lead to increased employee satisfaction and loyalty to the organization. A survey by the Employee Benefit Research Institute found that healthcare benefits were a critical factor in employee satisfaction and retention. 

By improving medication adherence, reducing absenteeism rates, improving overall health, and increasing employee satisfaction, employers can improve productivity and attract and retain top talent.

References:

1. National Business Group on Health. (2021). Large Employers See Reducing Specialty Drug Costs as Top Priority for Managing Healthcare Costs. https://www.businessgrouphealth.org/news/nbgh-news/press-releases/press-release-details/?ID=516
2. Goetzel, R. Z., Ozminkowski, R. J., & Wang, S. (2004). The impact of pharmacy benefit design on employer costs and employees’ adherence to medications. Journal of Occupational and Environmental Medicine, 46(7), 662-668. https://doi.org/10.1097/01.jom.0000131797.21479.69
3. Goldman, D. P., Joyce, G. F., Escarce, J. J., Pace, J. E., & Solomon, M. D. (2006). Pharmacy benefits and the use of drugs by the chronically ill. Journal of the American Medical Association, 291(19), 2344-2350. https://doi.org/10.1001/jama.291.19.2344
4. Edington, D. W., Yen, L. T., Witting, P., McFadden, H., & Songer, T. (2013). The financial impact of changes in health risks among active employees of a multi-employer manufacturing company. American Journal of Managed Care, 19(5), 410-418.
5. Employee Benefit Research Institute. (2020). 2020 Workplace Wellness Survey. https://www.ebri.org/docs/default-source/surveys